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Basic steps to begin a strategic review of your business. Inflect Strategic Solutions provides product management and strategy to businesses that want to improve their revenue, profit margin and strategic position.
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Beginning a Strategic Review
Strategy is the basis on which you compete – and is the reason customers buy from you◦ A good competitive strategy highlights your
unique selling proposition
Why Review Your Strategy
Strategy is the basis on which you compete – and is the reason customers buy from you◦ A good competitive strategy highlights your
unique selling proposition Things change in your environment and you
need to adapt◦ Mergers, acquisitions, new entrants, new products
Why Review Your Strategy
Everyone in your organization has an opinion about what you should do to grow, improve profits, adapt to competition
The answers come from thinking through your situation in an organized way!
So Where do you Start?
SWOT Analysis: Strengths, Weaknesses, Opportunities, Threats
Start with the Basics
SWOT Analysis: Strengths, Weaknesses, Opportunities, Threats
Porter’s Five Forces of Competition
Start with the Basics
SWOT Analysis: Strengths, Weaknesses, Opportunities, Threats
Porter’s Five Forces of Competition Life Cycle Analysis
Start with the Basics
SWOT Analysis: Strengths, Weaknesses, Opportunities, Threats
Porter’s Five Forces of Competition Life Cycle Analysis Verify with outside stakeholders including
customers, suppliers, distributors
Start with the Basics
Pros:◦ Easy to engage a wide team◦ Basis for great discussions
SWOT – Tips
Pros:◦ Easy to engage a wide team◦ Basis for great discussions
Do it Right:◦ Get input from outside your organization too◦ Ask hard, open-ended questions in particular
about opportunities and threats◦ Strengths do not necessarily equal Sustainable
Competitive Advantages
SWOT – Tips
Analyze the strengths of each force acting on your competitive environment
Porter’s Five Forces
Do the forces at work allow you to make a good profit, or do they combine to drive down profits in your market?
What Porter’s Analysis Tells You
Do the forces at work allow you to make a good profit, or do they combine to drive down profits in your market?
Watch out for interactions between the forces in this model, as well as actions of regulations – these can complicate the conclusions you draw.
What Porter’s Analysis Tells You
Do the forces at work allow you to make a good profit, or do they combine to drive down profits in your market?
Watch out for interactions between the forces in this model, as well as actions of regulations – these can complicate the conclusions you draw.
Consider whether you have the resources to respond as the model would suggest.
What Porter’s Analysis Tells You
Product Life Cycle
In general, the life cycle concept holds up
Product Life Cycle Comments
In general, the life cycle concept holds up It is critical to remember that the shape of
the curve is different for every market
Product Life Cycle Comments
In general, the life cycle concept holds up It is critical to remember that the shape of
the curve is different for every market Changes in features, segmentation and
messaging can change the profile of your life cycle
Product Life Cycle Comments
In general, the life cycle concept holds up It is critical to remember that the shape of
the curve is different for every market Changes in features, segmentation and
messaging can change the profile of your life cycle
Today’s faster rate of business means life cycle stages don’t last as long as in the past
Product Life Cycle Comments
No single model or analysis will answer all your questions or create the perfect strategy
Putting it all together
No single model or analysis will answer all your questions or create the perfect strategy
Combine what you learn from each analysis with what you know about your market to form your competitive strategy: one that increases your revenue and profit margin
Putting it all together
We use these and other tools every day to help clients increase their revenue, improve their profit margin, and stabilize their strategic position.
Inflect Strategic Solutions
www.inflectstrategy.com/connectus @inflectstrategy
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